sunk costs
Heterogeneous Exporter Behaviour: Exploring the Evidence for Sunk Costs and Hysteresis ESRI WP196 July 2007
... that sunk costs are not that important for the relatively large group of firms that ‘re-switch’ as they are willing to move in and out of the export market in good and bad ...
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Suppliers Dynamic Approach to Invest in R&D with Sunk Costs in Indian Contexts
... by sunk costs but also by underlying (observed and unobserved) firm heterogeneity ...of sunk costs in the ...of sunk costs we use an econometric framework that allows controlling ...
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Sunk costs of consumer search: economic rationality of satisficing decision
... of sunk costs’ sensitivity ...fixed sunk costs of visiting the store. “The buyer’s sunk travel costs may be exploited…In this case, because the cost of the extra trip may not be ...
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Endogenous sunk costs in the market for mobile telecommunications: the role of licence fees
... T his paper presents a simple model of market structure and sunk costs to illustrate the effect of the scarcity of suitable radio frequencies on the market structure of the mobile telecommunications ...
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Small is Beautiful but Size Matters: The Asymmetric Impact of Uncertainty and Sunk Costs on Small and Large Businesses
... The number is close to 1 and even at the 75 th percentile level implying near equivalence between the number of establishments and firms in an industry and hence their size distributions. This overall picture conceals a ...
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Sunk Costs: does group decision make a difference?
... sunk costs. But this is an assumption, and only the existence of the sunk cost bias in all cases analyzed is definite, confirming that regardless of the decision being made individually or in a group ...
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Testing for Endogenous Sunk Costs in the Retail Industry
... endogenous sunk costs for supermarkets in the US adapting Sutton’s (1991) model of advertising to include some speci…c features of the su- permarket ...higher costs to stay in business, and this es- ...
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Relationship Specific Sunk Costs and Exporter Decisions
... of sunk entry costs. A typical type of sunk costs is those that are independent of the frequency of interactions between buyers and ...entry sunk costs and reentry sunk ...
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Geography and Firm Exports: New Evidence on Sunk Costs
... the sunk costs associated with becoming an ...main sunk cost involved in exporting is captured by the initial effort involved in becoming outward orientated and that subsequently the experience of ...
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Gravity and extended gravity: estimating a structural model of export entry
... Exporters continuously enter and exit individual foreign markets. Although a given firm’s status as an exporter tends to be persistent, the set of destination countries that a firm serves changes frequently. In this ...
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Sunk cost accounting and entrapment in corporate acquisitions and financial markets : an experimental analysis
... of sunk costs in multi-issue negotiations within a corporate acquisition ...between sunk costs and persistence in a losing course of action involve single-issue individual ...the sunk ...
335
The dynamic effects of currency union on trade
... heterogeneous sunk cost is known, rather than being evaluated for average firm value, based on expected values of the heterogeneous ...marginal costs or profits, which would require a different and much ...
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How instability in virtual economies of mobile digital games drives and ruins profit
... A high instability in a virtual economy is a way to exploit players. The ranking stabilized during the first quarters after the introduction of the instability inside the virtual economy. If instability in a virtual ...
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Barriers to entry : abolishing the barriers to understanding
... of sunk costs. The converse is obviously not true: sunk costs by themselves will not create a barrier to ...irreversibly sunk costs ...
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Age differences in financial decision making: The benefits of more experience and less negative emotions
... to test for parallel multiple mediation with 1,000 bootstrap samples (Figure 4; Preacher & Hayes, 2008; Hayes, 2013). That is, we computed one PROCESS parallel multiple mediation model for each financial deci- sion ‐ ...
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'Reverse hysteresis': R&D investment with stochastic innovation
... with sunk costs and the possibility of higher returns in the more distant future both increase ...the sunk cost effect dominates and π L falls ...
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Deindustrialization: Entries and Exits in Declining Industries: The Greek Experience
... the sunk costs, in other words the non-recovered costs made for the company establishment and its entry in the ...These costs are not a loss for the ...that sunk costs usually ...
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Firm Export Participation: Entry, Spillovers and Tradability
... also used. This two-step estimation developed by Orme (1997) has been applied to questions of state dependence in the labour market, but has not previously been used to estimate persistence in export activity. The data ...
29
The postwar British productivity failure
... Whereas West Germany can be seen as an orthodox CME which sustained high levels of capital formation and vocational training (cf. Table 4), postwar Britain was an LME but some idiosyncratic features. This was not an ...
22
Africa’s Growth Trap: A Political-Economy Model of Taxation, R&D and Investment
... of sunk costs and a delay in farmers’ price response, the optimal tax would still be an equilibrium only if there were a commitment mechanism by which government could promise to sustain announced tax ...
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